First US Bancshares Q2 net income drops as provisions for bad loans increase

Reuters
Jul 31
<a href="https://laohu8.com/S/FUSB">First US Bancshares</a> <a href="https://laohu8.com/S/QTWO">Q2</a> net income drops as provisions for bad loans increase

Overview

  • First US Bancshares Q2 net income falls to $0.2 mln from $2.1 mln yr ago

  • Company's net interest margin improved to 3.59% from 3.53% in Q1 2025

  • Increase in credit loss provisions impacts earnings, driven by consumer lending growth

Outlook

  • Company sees growth in indirect consumer lending impacting future provisions

Result Drivers

  • CREDIT LOSS PROVISION - Increase in provision for credit losses driven by growth in indirect consumer lending and specific commercial loan reserves, per CEO James F. House

  • LOAN GROWTH - Total loans grew by 2.7% in Q2, primarily due to consumer indirect loans, contributing to a year-to-date growth of 5.9%

  • NET INTEREST MARGIN - Net interest margin improved by six basis points compared to Q1, aided by increased loan volume and yields

Key Details

Metric

Beat/Miss

Actual

Consensus Estimate

Q2 EPS

$0.03

Q2 Basic EPS

$0.03

Q2 Net Interest Margin

3.6%

Press Release: ID:nPnN39nPa

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)

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